STRATFORD, CT — With a 145% tariff on Chinese imports looming, small businesses across Connecticut are preparing for disruptions in pricing, supply chains, and consumer behavior — particularly as the year’s busiest retail season approaches.
At Mellow Monkey in Stratford, which sells a broad range of gifts and home décor, owner Howard Aspinwall is closely watching the situation. While prices remain stable for now, he expects the effects of the tariff to materialize around the holidays, when demand spikes and margins become critical.
Aspinwall said most home décor and gift merchandise sold by independent shops is imported, and the majority of that originates from China.
If vendors scale back shipments or cancel them altogether due to the tariff hike, small retailers may face sparse inventory and tougher competition from national chains. This could restrict revenue opportunities at a time when stores typically generate their highest earnings.
To buffer the impact, Aspinwall has already begun stocking up on holiday inventory ahead of time. Still, he noted that rising wholesale costs could force retailers to pass those increases on to shoppers — or risk eroding their profit margins.
Dr. Mohammad Elahee, professor of international business at Quinnipiac University, advised caution. While some analysts recommend early purchases of foreign goods such as clothing and electronics, Elahee warned against panic buying. He advised consumers to spend within their means and consider deferring non-essential large purchases.
Elahee believes the tariff, while likely to be adjusted through U.S.-China negotiations, has already damaged trust in international trade channels. He noted that rebuilding confidence between global partners is a slow process and cannot be repaired easily, even if policy changes are reversed.
On Wednesday, President Donald Trump defended the tariffs during a cabinet meeting, acknowledging that the impact may affect American consumers.
He framed the measure as a necessary step to protect domestic industries, stating that the tariffs are part of a larger effort to counteract decades of manufacturing job losses attributed to China.
Retailers and economists across the state are watching closely, with many warning that the next few months could shape how deeply these policies cut into Connecticut’s small business economy.
